The uncertainty about the bid winner of debt-ridden Jaypee Infratech group has ended-most probably as the sources claim the firm’s lenders have rejected the bid submitted by NBCC i.e. a state-owned national building construction company.
The sources also claim that the lenders are most likely to vote in favour of Suraksha Realty to acquire the firm. The Suraksha group is a Mumbai-based realty firm and is racing against NBCC and several others companies since the announcement to invite bidding has been made.
The Committee of Creditors [CoC] met on Friday and discussed the bids submitted by both the companies. Before this, the NBCC and the Suraksha group were directed to submit revised bids to make this workable as the Jaypee Infratech has multiple stalled projects in Noida and Greater Noida that comprises of more than 20,000 residential units.
The sources further said that the CoC unanimously decided to reject the bid made by the National Building Construction Company. The main reason behind the rejection is believed to be the conditions and the subject of approval from multiple departments of the Government.
The sources also claimed that the NBCC officials sought some time to get clearances from multiple departments of the Government.
However, the conditional bids are prohibited to be made under the insolvency law.
Earlier, the NBCC has submitted its revised bids and also proposed the lenders a land parcel of worth Rs. 5,000 crore. Apart from this, the state-owned National Building Construction Company also proposed the Yamuna Expressway via which Noida is connected to Agra in the state of Uttar Pradesh.
On the other hand, the Suraksha group proposed a land parcel of Rs. 5,000 crore.
In April only, the debt-ridden Jaypee Infratech made an attempt to retain its right to control the firm also asked the home buyers to support them in the debt resolution plans under the Insolvency and Bankruptcy Code.
A few days back, Manoj Gaur, Chairman, Jaypee group said to infuse Rs. 2,000 crore in order to complete the construction of stalled projects.
In 2017, the National Company Law Tribunal (NCLT) had admitted the application by an IDBI Bank-led consortium, seeking resolution for JIL under the Insolvency and Bankruptcy Code. The tribunal had appointed Anuj Jain as IRP to manage the company’s business, who later invited bids from investors interested in acquiring JIL and completing the stuck real estate projects in Noida and Greater Noida.